Financial Management Network Inc. Trims Stake in McDonald’s Co. (NYSE:MCD)

Financial Management Network Inc. trimmed its holdings in shares of McDonald’s Co. (NYSE:MCD) by 6.8% in the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 4,057 shares of the fast-food giant’s stock after selling 295 shares during the quarter. Financial Management Network Inc.’s holdings in McDonald’s were worth $1,196,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in the business. Legacy Investment Solutions LLC bought a new stake in McDonald’s during the third quarter worth about $25,000. Comprehensive Financial Planning Inc. PA bought a new stake in McDonald’s during the fourth quarter worth about $27,000. Collier Financial bought a new stake in McDonald’s during the fourth quarter worth about $29,000. RPg Family Wealth Advisory LLC bought a new stake in McDonald’s during the third quarter worth about $31,000. Finally, Hara Capital LLC bought a new stake in McDonald’s during the third quarter worth about $44,000. 70.29% of the stock is currently owned by hedge funds and other institutional investors.

McDonald’s Stock Performance

MCD stock opened at $304.85 on Wednesday. McDonald’s Co. has a fifty-two week low of $243.53 and a fifty-two week high of $317.90. The business’s 50 day moving average price is $292.20 and its two-hundred day moving average price is $293.38. The company has a market capitalization of $218.46 billion, a price-to-earnings ratio of 26.76, a price-to-earnings-growth ratio of 3.16 and a beta of 0.74.

McDonald’s (NYSE:MCD) last posted its earnings results on Monday, February 10th. The fast-food giant reported $2.83 earnings per share for the quarter, hitting analysts’ consensus estimates of $2.83. McDonald’s had a negative return on equity of 181.63% and a net margin of 31.73%. Sell-side analysts forecast that McDonald’s Co. will post 12.25 earnings per share for the current year.

McDonald’s Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Shareholders of record on Monday, March 3rd will be issued a dividend of $1.77 per share. The ex-dividend date of this dividend is Monday, March 3rd. This represents a $7.08 dividend on an annualized basis and a dividend yield of 2.32%. McDonald’s’s dividend payout ratio (DPR) is 62.16%.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on MCD shares. Baird R W lowered McDonald’s from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, October 23rd. Barclays boosted their target price on McDonald’s from $347.00 to $350.00 and gave the company an “overweight” rating in a research note on Monday, February 10th. Piper Sandler lowered their target price on McDonald’s from $297.00 to $290.00 and set a “neutral” rating for the company in a research note on Tuesday, February 4th. TD Securities reissued a “hold” rating and issued a $300.00 target price on shares of McDonald’s in a research note on Monday, February 10th. Finally, BMO Capital Markets boosted their target price on McDonald’s from $335.00 to $340.00 and gave the company an “outperform” rating in a research note on Tuesday, February 11th. Ten analysts have rated the stock with a hold rating and sixteen have given a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $323.61.

Insiders Place Their Bets

In related news, EVP Desiree Ralls-Morrison sold 3,409 shares of the company’s stock in a transaction that occurred on Monday, December 30th. The stock was sold at an average price of $290.15, for a total value of $989,121.35. Following the sale, the executive vice president now owns 9,675 shares in the company, valued at $2,807,201.25. This represents a 26.05 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Christopher J. Kempczinski sold 10,500 shares of the company’s stock in a transaction that occurred on Tuesday, February 11th. The stock was sold at an average price of $310.05, for a total value of $3,255,525.00. Following the completion of the sale, the chief executive officer now owns 32,756 shares in the company, valued at $10,155,997.80. The trade was a 24.27 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 17,906 shares of company stock worth $5,406,382. Company insiders own 0.23% of the company’s stock.

About McDonald’s

McDonald’s Corp. engages in the operation and franchising of restaurants. It operates through the following segments: U.S., International Operated Markets, and International Developmental Licensed Markets and Corporate. The U.S. segment focuses its operations on the United States. The International Operated Markets segment consists of operations and the franchising of restaurants in Australia, Canada, France, Germany, Italy, the Netherlands, Spain, and the U.K.